Limited Liability Partnership (LLP) is a new hybrid form of company incorporation in India. It provides the benefits of a private limited company and a partnership firm’s flexibility. The concept was introduced and governed by the LLP Act 2008. The purpose of introducing LLP was to provide a safety net and promote small and medium businesses in the country. The government fee for LLP company registration is the same across the country, but professional costs vary.
- Benefits of registering an LLP in India
- Incorporation cost to register LLP in India
- Other Related Costs Involved In Registering An LLP In India
- How to register an LLP with Professional Utilities?
Benefits of registering an LLP in India
These are the following benefits of LLP registration in India.
- Separate Legal Identity
LLPs are deemed as separate legal entities from their shareholders and can own assets and other expenses.
- Limited Liability Benefits
Limited liability, A “condition under which stakeholders are only responsible for the amount they have invested into the company.”
- Minimal Registration Cost
The incorporation cost of an LLP company is relatively lesser than any other form of business, such as a private limited company.
- Other Benefits of LLP Registration
- No limit on the maximum number of partners
- No minimum capital contribution is needed
- Low maintenance cost
- Audit of LLP companies are optional
Incorporation cost to register LLP in India
Government fee to register an LLP in India.
|Contribution Limit||Incorporation Cost||Fees For registration or recording any Document|
|Less than Rs. 1 lakh||Rs. 500||Rs. 50|
|More than Rs. 1 lakh less than Rs. 5 lakh||Rs. 2000||Rs. 100|
|More than Rs. 5 lakh less than Rs. 10 lakh||Rs. 4000||Rs. 150|
|More than Rs. 10 lakh||Rs. 5000||Rs. 200|
Other Related Costs Involved In Registering An LLP In India
- For reservation of Name
- Fees of registration Form
- Application fee for obtaining DSC and DIN
- Fee for inspection of documents
How to register an LLP company In India?
These are the following steps to register an LLP in India.
- Acquire DSC
- Acquire DIN
- LLP name approval
- Incorporation of LLP
- Filing LLP agreement and partner details
How many people are required for LLP?
The minimum number of people required for a Limited liability partnership is 2. However, there is no upper limit.
Is LLP Registration Mandatory?
Yes, registering a limited liability partnership on the MCA portal is mandatory, and they must acquire LLP registration under LLP ACT 2008.
Does LLP require AOA and MOA?
No, the requirement of AoA and MoA is not mandatory under LLP Act
What is the Minimum Capital required?
There is no minimum capital limit to start a limited liability partnership firm.
What is the compliance of LLP?
List of following annual compliances for an LLP firm.
- Filing an annual return
- Filing of statement of the account
- Filing income tax return